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Costs – Security for costs. The claimant company brought a claim for misrepresentation and conspiracy against the defendants. A judge ordered the claimant to provide security for costs in the form of written confirmation from its insurer that the level of cover in respect of adverse costs had been extended to specified amounts. The defendants, relying on CPR 25.13(2)(c), further applied for an order for security of their costs in the form of an irrevocable bond or a deed of indemnity from the claimant's insurer. The Chancery Division, in dismissing the application, held that there was no reason to believe that the claimant would be unable to pay the defendants' costs if ordered to do so. Accordingly, the jurisdictional threshold of CPR 25.13(2)(c) had not been crossed and there was no discretion to grant the order sought.
Costs – Security for costs. The claimant company brought a claim for misrepresentation and conspiracy against the defendants. A judge ordered the claimant to provide security for costs in the form of written confirmation from its insurer that the level of cover in respect of adverse costs had been extended to specified amounts. The defendants, relying on CPR 25.13(2)(c), further applied for an order for security of their costs in the form of an irrevocable bond or a deed of indemnity from the claimant's insurer. The Chancery Division, in dismissing the application, held that there was no reason to believe that the claimant would be unable to pay the defendants' costs if ordered to do so. Accordingly, the jurisdictional threshold of CPR 25.13(2)(c) had not been crossed and there was no discretion to grant the order sought.
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